I’ve set up a family trust for my son, and I am finding it nearly impossible to find a cash vehicle that pays any rate of interest at all! We can’t tie up the money yet as its being added too and we want to use it to go towards a flat (eventually) so we are looking for a fixed rate bond. Because it’s got to be held in the name of the trust, banks/building societies won’t touch it! Has anyone out there had any luck?

I wanted to let you know that families make life settlements in to the Mencap Trust they have set up (our youngest beneficiary is 8 month old). Parents, grandparents, wider family and friends can place funds in to the trust once it has been set up.

My name is Jane and I lead the Wills & Trust Advice & Information Service for Mencap.
We are asked this question frequently, and unfortunately it would seem that banks are not as helpful as they ought to be around setting up Trusts. I have heard feedback from families that they have had more success with Nat West bank, so might be worth trying them? I would also make an apt to see someone in the bank, rather than approach the counter staff, as they don’t seem to be as informed as they used to? Good luck.

Hi,
Just an update, we were able to open a bank account with Nat West, however they can’t help with a bond or other savings account. It’s appalling that the financial sector can’t offer anything that offers even a nominal amount of interest. If anyone else has had better luck than I, please let me know!
Thanks